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Meet the Dirt Cheap 6.4%-Yielding Dividend Stock That's Beating the Market in 2026

Altria has crushed it in 2026, but be well aware of the risks.

In 2026, Altria Group (NYSE: MO), America's largest tobacco company, has outperformed the S&P 500 with total returns of over 24%, despite initial concerns about adapting to changing nicotine and tobacco consumption habits. The company's strong performance can be attributed to better-than-feared quarterly results, better market conditions for smokeless products, and a successful transformation similar to Philip Morris International's subsidiary, Philip Morris International.

Altria's dividend yield stands at 6.4%, making it an attractive high-yield dividend stock. However, there are risks involved if the company's earnings decline, which could threaten its Dividend King status and transform it into a yield-and-value trap. Despite these risks, Altria's 12 times forward earnings and strong 2026 performance make it a compelling investment option.

Written by urgent.news from Yahoo Finance's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.

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